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Intel expands chip foundry business, could supply Apple

Intel has agreed to manufacture chips for Altera, indicating that the company could make its manufacturing technology available to other large customers, such as Apple. A new report details the significance of chip designer and manufacturer Intel working with Altera, a larger company, demonstrating Intel’s willingness to serve solely as a manufacturing factory for top-tier customers. Rather than buying off-the-shelf processors for its iOS devices, Apple increasingly designs its own chips and has them manufactured by partners. With Intel’s PC business on the decline, the company could offset costs by sharing manufacturing plants. Sunit Rikhi, Vice President and General Manager of Intel custom foundry, declined to mention Apple, but noted that “If and when we are called upon to serve large mobile customers who can drive a lot more volume, we could serve them today in terms of capability.” [via Reuters]